Ohio Market Watch: Multiple offers becoming the norm

By Greg Stitz, Ohio REALTORS Director of Research

It’s a seller’s market due to low inventory so it’s interesting to take a snapshot of the number of offers Ohio REALTORS received on the last residential sale they closed. According to findings from the latest housing market confidence survey, 58 percent of respondents received multiple offers on their last sale. Forty-two percent received two or three offers, 9 percent received four or five offers and 7 percent received six or more.

number of multiple offers

Survey results are based on responses to a monthly survey, designed to capture the effects of the existing economic conditions and trends on the real estate industry, sent to a pool of 1,500 Ohio REALTORS participants. Click here to participate in future Ohio REALTORS Housing Confidence Surveys.

Tags: Ohio Market Watch, research

Ohio Market Watch: No change from last year in sellers’ valuation of home to sell

By Greg Stitz, Ohio REALTORS Director of Research

Consistent with June 2016’s findings, about one-third of respondents to Ohio REALTORS’ June 2017 housing market confidence survey indicated their sellers are becoming more realistic when anticipating the value of their homes to put on the market. Also true for June 2016 and 2017 is another one-third indicating their buyers are becoming less realistic. The remaining roughly one-third of respondents for both years finds no change in buyers anticipating the value of their homes to put on the market. Respondents were more likely to indicate buyers were more realistically valuing their homes in June of 2014 and 2015 with percentages of 50 and 41, respectively.

chart of seller valuation

Survey results are based on responses to a monthly survey, designed to capture the effects of the existing economic conditions and trends on the real estate industry, sent to a pool of 1,500 Ohio REALTORS participants. Click here to participate in future Ohio REALTORS Housing Confidence Surveys.

Tags: Ohio Market Watch, research

Ohio’s June Housing Report: Shrinking inventory, rising prices and a quicker sales pace

By Carl Horst, Ohio REALTORS Director of Publications/Media Relations

The latest review of the Ohio housing marketplace shows rising list prices and a quickened pace of sales compared to June 2016. Overall, the Buckeye State is continuing to confront the challenges posed by extremely tight inventory levels of homes listed for sale.

The headline from realtor.com’s June 2017 Housing Report, which tracks inventory of for-sale single-family homes and condos, median list prices, inventory levels and days on the market for cities across the country, is that the market is experiencing the longest housing inventory decline in two decades. More:

According to new data from realtor.com, there were 11 percent fewer homes on the market in June 2017 than during the same time last year, marking 24 consecutive months of year-over-year inventory declines — the longest such streak in two decades. Residential real estate prices also remained at historic highs, with homes selling for 9 percent more in June than a year previously even as the pace of sales picked up.

The median age of property listings on realtor.com in June is 60 days, which indicates that properties are selling five days faster than this time last year and at roughly the same pace as last month. Earlier in the spring, the nationwide median home list price pushed above $250,000 for the first time. Now $275,000, the median list price is 9 percent higher than one year ago.

The total number of homes for sale has gone up during the beginning of the summer home-buying season, as is typical, but it remains substantially lower than one year ago. Approximately 536,000 new listings hit the market in June, a slight jump over last year. However, those homes are concentrated on the higher end of the market, failing to offer relief to the mid- and lower-price ranges where demand is greatest.

“We have now gone 24 months in a row seeing the number of homes drop on a year-over-year basis, the longest streak in more than two decades.” said Javier Vivas, manager of economic research at realtor.com. “And more markets than ever are struggling with inventory problems; in 80 percent of markets there are fewer homes for sale currently than this time last year.

“It’s good to see that more homes are coming onto the market, but the bulk of those homes are too pricey for the largest, most desperate group of buyers. With no clear indication that newly built homes will be able to provide short-term relief soon, there appears to be no end in sight for the inventory shortage” Vivas added. The market will likely remain very challenging for would-be buyers throughout the summer.”

June 2017 vs. June 2016

List Prices Active Listings Days on Market
U.S. Average 10% -8% -11%
     Ohio Markets
Akron 15% -17% -10%
Ashtabula 4% -19% 5%
Canton-Massillon 5% -11% -6%
Chillicothe 2% -14% -4%
Cincinnati 22% -23% -15%
Cleveland-Elyria 10% -14% -12%
Columbus 32% -57% -16%
Dayton 7% -22% -28%
Findlay 11% -21% -32%
Lima -18% -24% -11%
Mansfield 12% -32% -20%
Marietta 3% 17% 0%
New Philadelphia-Dover 8% -11% -2%
Portsmouth 0% -8% -28%
Salem -2% -1% -8%
Sandusky 1% -21% -31%
Springfield -9% -18% -9%
Steubenville-Weirton, WV 1% -3% -23%
Toledo 10% -14% -15%
Wooster 6% -13% -19%
Youngstown-Warren-Boardman 11% -11% -18%
Zanesville 10% -10% 3%

“The low inventory levels in markets across Ohio continues to pose a significant challenge,” said Ohio REALTORS President Pete Kopf. “The shortfall in inventory is pushing list prices higher and a key factor in quickening the pace of sales we’re experiencing in nearly every market throughout the state.”

Tags: research

Home purchase agreements across Ohio reach near record level in May

sale pending sign

By Carl Horst, Ohio REALTORS Director of Publications/Media Relations

Ohio REALTORS report the number of single-family homes and condominiums put under agreement in May 2017 held steady with the level posted during the month a year ago.

Ohio’s May Pending Home Sales Index of 162.4, a forward-looking indicator based on contract signings, was a marginal 0.5 percent drop from May 2016 (163.2). Activity in May was also relatively unchanged – falling a slight 0.5 percent — from the pace of agreements reached in April 2017 (163.2).

“Activity in Ohio’s housing marketplace remains solid, as the number of homes put under contract in May reached the month’s second-best mark,” said Ohio REALTORS President Pete Kopf. “The desire for homeownership has been strong throughout the year, despite the ongoing challenge the market has been facing of low inventory levels.”

Compared to 2008, a historically healthy market that marked the end of five consecutive record years for existing home sales and the onset of the recession, May’s Index score of 162.4 marks a 62.4 increase.

A pending sale or a sale “under agreement” is when the buyer and seller agree on terms of the sale of a home and have a signed purchase and sale agreement, but have yet to close and be recorded as such.

Ohio REALTORS, the largest professional trade association in the state with more than 30,000 members, is the only organization that compiles this state wide information from selected Multiple Listing Services each month. The tracking of “pending sales” provides reliable information about where the market is heading in coming months.

Tags: pending home sales, research

Rate of Ohio home sales activity reaches record-breaking level in May

By Carl Horst, Ohio REALTORS Director of Publications/Media Relations

The rate of homes sold across Ohio in May reached a record-breaking level, increasing 3.4 percent from the rate posted during the month a year ago, according to Ohio REALTORS.

“Activity in the housing marketplace in May was brisk, as the rate of sales activity reached a best-ever level for the month since Ohio’s REALTORS began tracking data in 1998,” said Ohio REALTORS President Pete Kopf. “Additionally, we continued to see a healthy gain in the average sales price, evidence that housing is a solid, long-term investment.

“Ohio’s REALTOR community remains hopeful that we will begin to experience a rise in the number of homes being listed for sale so that we can continue to move the marketplace forward.”

May’s average home price of $176,804 reflects a 5.2 percent increase from the $168,074 mark posted during the month last year.

Sales in May reached a seasonally adjusted annual rate of 154,106, a 3.4 percent increase from the month’s previous best-ever level of 149,002 established during the month a year ago. The market experienced a 1.2 percent increase in sales from April’s seasonally adjusted annual rate of 152,322.

Around the state, 15 of the 18 markets tracked reported an uptick in average sales price. A total of 11 markets experienced an increase in sales activity.

Data provided to OAR by Multiple Listing Services includes residential closings for new and existing single-family homes and condominiums/co-ops. The Ohio Association of REALTORS, with more than 30,000 members, is the largest professional trade association in Ohio.

Click here to view OAR’s seasonally adjusted Ohio home sales report. To access a market-by-market analysis of sales activity throughout Ohio, click here.

Tags: home sales, research

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